Thursday, August 20, 2020

There can really be no comparison.

"Using spurious arguments to tarnish Prime Minister Narendra Modi", and "With Trump detested by US Democrats and western liberal opinion in general, the opposition in India contrives to equate Modi with Trump variously by claiming absurdly that Modi shares Trump's world view and politics," wrote Kanwal Sibal. Trump has "rejected multilateralism, repudiated signed pacts," but Modi "pursues India's interests on diverse platforms, including RIC, BRICS and SCO". The gross domestic product (GDP) of the US is over $21 trillion, while that of India is around $2.9 trillion. The US is to spend $732 billion on its defense, more than the combined spending of the next ten countries, including India. Finally, the US is a major power in NATO, which has a total of 30 members committed to supporting each other, and has no hostile neighbors, whereas Pakistan to India's west is the 'iron brother' of China, in the north, Nepal's communist Prime Minster KP Oli is in office with the support of China and the overwhelming victory by the Rajapaksa brothers in Sri Lanka's recent elections could mean greater Chinese presence in the Indian Ocean. So, Trump deals from a position of strength while we are weak, economically and militarily, and surrounded by outright or potentially hostile neighbors. We can't even get China to return territory it recently occupied in Ladakh. Modi cannot be Trump externally even if he wants to. Internally, it is another matter. President Donald Trump has threatened to slap new taxes on American companies like Apple to dissuade them from moving their manufacturing bases from China to countries like India and Ireland instead of the US amidst the Covid-19 pandemic." Modi has launched his own idea of making India great, by issuing a call for 'Atmanirbhar', which could mean 'self sufficiency' or 'self relaiance', and is as old as independent India, wrote Udit Mishra. "For starters, import substitution industrialisation (ISI), which entails progressive replacement of imports by domestic production, is precisely the strategy we had pursued till 1991," wrote Prof Arvind Panagariya. Also, "we are proceeding with Phased Manufacturing Program (PMP)", which we pursued "during the licence permit raj era". Didn't work then, won't work now. "The United States is self-reliant not because it makes everything within its borders, but because it can purchase or make everything it wants, and more," wrote Nitin Pai. By withdrawing from world trade India risks becoming irrelevant. In the 1980s licenses for manufacture of color televisions were tightly controlled because curvature picture tubes were imported from Japan or Germany, wrote Gautam Das. As a result, there was a long waiting list and a 51 cm set could cost Rs 35,000. Recently, the government changed its import policy of color TVs from 'free' to 'restricted'. "Raising the country's share in world trade, taking advantage of the current global environment and the relocation of manufacturing out of China, requires greater trade liberalisation, not less," wrote an editorial in the Indian Express. Comparing with Trump is silly. It's like comparing an elephant with an elephant shrew.

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